Bengaluru: Financial services firm ASK Group has invested Rs.365
crore in Mumbai-based realty developer Rajesh Lifespaces’ upcoming
residential project in suburban Mumbai’s Vikhroli area through its
private equity arm ASK Property Investment Advisors.
ASK’s equity investment—it’s largest till date—has been made from two of its funds—one with a Rs.1,000 crore corpus and another one that is still raising Rs.1,500 crore.
The transaction comes in the form of early-stage finance to help the realtor buy 10.5 acres for the project, which has a revenue potential of more than Rs.3,000 crore and is expected to be completed in phases by 2020.
This is ASK’s second investment in the realty firm. In 2001, it had invested Rs.55 crore in another project from which it exited this year with Rs.124 crore, an internal rate of return of 26%.
“This is a large transaction where we have invested in the land stage and it demonstrates our belief in the developer’s execution capability,” said Sunil Rohokale, chief executive and managing director, ASK Group.
Sizes of private equity investments in real estate projects are growing. However, in most cases the capital is in the form of debt or structured debt and equity, unlike ASK’s equity investment.
“For repeated investments, it is pertinent for both developer and investor to be flexible, agile and aligned to market realities. With this large and prime land parcel in the heart of eastern suburb, we are all geared up to make this a landmark project with all the amenities and supreme standard living for the residents,” said Rajesh Patel, managing director, Rajesh LifeSpaces.
Rajesh Lifespaces recently raised Rs.40 crore from Milestone Capital Advisors Ltd, when the private equity firm bought apartments in bulk in the developer’s Raj Tattva in Thane, near Mumbai.
Over the last three years or so, real estate transactions have mainly been debt or structured debt capital, with only a few domestic funds committing equity. Equity deals have mainly taken place in the commercial office space with large global funds buying out assets. Among domestic funds, ASK is the only fund that has focused on equity deals.
“Pure equity capital is still a tiny sliver of the entire capital stack that is available to real estate from institutional funds today. The market continues to be dominated by structured debt. There is a lot of demand for equity from developers, particularly in transactions which involve buying land,” said Shouvik Purkayastha, executive director and head, capital markets, Cushman and Wakefield India, a property advisory.
“We are expecting more equity and structured equity deals in the next year or so, as the real estate sector revives. Equity capital is patient, long-term capital where funds are willing to partake the risk along with the developer,” Purkayastha added.
ASK’s equity investment—it’s largest till date—has been made from two of its funds—one with a Rs.1,000 crore corpus and another one that is still raising Rs.1,500 crore.
The transaction comes in the form of early-stage finance to help the realtor buy 10.5 acres for the project, which has a revenue potential of more than Rs.3,000 crore and is expected to be completed in phases by 2020.
This is ASK’s second investment in the realty firm. In 2001, it had invested Rs.55 crore in another project from which it exited this year with Rs.124 crore, an internal rate of return of 26%.
“This is a large transaction where we have invested in the land stage and it demonstrates our belief in the developer’s execution capability,” said Sunil Rohokale, chief executive and managing director, ASK Group.
Sizes of private equity investments in real estate projects are growing. However, in most cases the capital is in the form of debt or structured debt and equity, unlike ASK’s equity investment.
“For repeated investments, it is pertinent for both developer and investor to be flexible, agile and aligned to market realities. With this large and prime land parcel in the heart of eastern suburb, we are all geared up to make this a landmark project with all the amenities and supreme standard living for the residents,” said Rajesh Patel, managing director, Rajesh LifeSpaces.
Rajesh Lifespaces recently raised Rs.40 crore from Milestone Capital Advisors Ltd, when the private equity firm bought apartments in bulk in the developer’s Raj Tattva in Thane, near Mumbai.
Over the last three years or so, real estate transactions have mainly been debt or structured debt capital, with only a few domestic funds committing equity. Equity deals have mainly taken place in the commercial office space with large global funds buying out assets. Among domestic funds, ASK is the only fund that has focused on equity deals.
“Pure equity capital is still a tiny sliver of the entire capital stack that is available to real estate from institutional funds today. The market continues to be dominated by structured debt. There is a lot of demand for equity from developers, particularly in transactions which involve buying land,” said Shouvik Purkayastha, executive director and head, capital markets, Cushman and Wakefield India, a property advisory.
“We are expecting more equity and structured equity deals in the next year or so, as the real estate sector revives. Equity capital is patient, long-term capital where funds are willing to partake the risk along with the developer,” Purkayastha added.
E-Tourist Visa scheme
registers over 2713% growth in Nov
A total of 83,501 foreign tourists arrived in the country on e-tourist
visa in November this year as compared to 2,968 during the month of
October 2014, registering a growth of 2713.4 percent.
TVoA (tourist visa on arrival), enabled by Electronic Travel
Authorisation (ETA), popularly known as e-tourist visa scheme was
launched on November 27, 2014.
The UK continued to occupy top spot, followed by the US, France and
Germany amongst the countries availing e-tourist visa facility, Tourism
Ministry said in a statement.
According to the Ministry, during January-November of this year, a total
of 3,41,683 tourists arrived on e-tourist visa as compared to 24,963
during the corresponding period of previous year, registering a growth
of 1268.8 percent.
"This high growth may be attributed to introduction of e-tourist visa
for 113 countries as against coverage of earlier TVoA (tourist visa on
arrival) scheme for 12 countries," the Ministry said in a release.
The UK accounted for 23.93 percent share of availing e-tourist visa
facilities during November 2015, followed by the USA (16.33 percent),
Russian Federation (8.17 percent), France (7.64 percent), Germany (5.60
percent), and Australia (4.82 percent), it added.
Canada had a share of 4.71 percent, while that of China stood at 3.26
percent, Ukraine 2.03 percent and Netherlands 1.75 percent. At present,
e-tourist visa facility is available for citizens of 113 countries
arriving at 16 airports in India.
Read more at: http://www.moneycontrol.com/news/current-affairs/e-tourist-visa-scheme-registers-over-2713-growthnov_4592741.html?utm_source=ref_article
Read more at: http://www.moneycontrol.com/news/current-affairs/e-tourist-visa-scheme-registers-over-2713-growthnov_4592741.html?utm_source=ref_article
Hello, my name is Jack Sparrow. I'm a 50 year old self-employed Pirate from the Caribbean.
No comments:
Post a Comment